I wonder what they will pick? If it were up to me (being them) I would go for something unique and patent it so that they control their own market. I wonder if they can build the needed support for the OS, device drivers, software applications, etc. for a new architecture? Could be both exciting and scary.

The article mentions about at least 5 existing processors architectures are considered. Which are they?
I wonder the outcome of the initiative. Will there be 1 architecture for all? Or 2-3 architectures for server, workstation and mobile devices, etc.

If they select one of the existing architectures, dont they still have to pay royalty to other companies? I thought the main idea of this exercise is to stop paying the foreign companies any royalty just like TS-CDMA/Qualcomm issue.

China is only one nation which clearly knows the right areas of investments for the future. They want everything to be home grown and do not want to buy from any other nation. Will this be good sign for overall global economy or not?

I think it's an issue of shades of gray. Getting out of big royalty payments is the goal. But as the MIPS exec said they are willing to pay something for a license to an architecture they can customize and at the end of the day cut a deal that significantly lowers royalty and gives them more control.

Imposed standards can work, I suppose, but in general, the bureaucracy involved in the decision making process slows innovation. If the architecture is mandated by the central government, where's the incentive to keep improving it?